Mortage arrangment or booking fees Vs % Interest calculation

quid-itch

It seems to me that the fees mortgage providers are getting steeper and steeper. Whereas a couple of years ago the nuisance of a few hundred quid disappearing from the bank account could be tolerated I'm now seeing fees approaching £2000 depending on rate. Is there a calculator (or what sums do I have to do) to work out which is more cost effective when looking at fixed period mortgages.

ie hypothetical example -

is it better to pay a fee of £1699 for a two year mortgage on £100,000 at 4.89%

or

pay a fee of £499 for the same amount and time at 5.6%?

My maths is so rusty - help please - maybe somebody out there could make a ready reckoner for the MSE site for all to use.

All help much appreciated.

KTF

I have a spreadsheet that will work this out for you. If you would like a copy then send me a private message with your email address and I will send it through.

cold-mummy

hi
there is a calculator on www.thisismoney.co.uk-calculators
its one where you can input and compare 2 mortgages!!
hth

beecher

cold-mummy wrote: »

hi
there is a calculator on www.thisismoney.co.uk-calculators
its one where you can input and compare 2 mortgages!!
hth

Thanks for that - will come in handy when I need to have a look at the end of the year